Tag Archives: CPF Minimum Sum

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CPF Advis­ory Pan­el has just announced a series of Focus Group Dis­cus­sions (FGD) to be con­duc­ted from mid-Novem­ber 2014 to mid-Janu­ary 2015. The dis­cus­sion will be on the fol­low­ing top­ics:-

Min­im­um Sum — how to adjust bey­ond 2015 for future retir­ees

Lump sum with­draw­als at age 65 years — how much should CPF mem­bers be able to with­draw and under what con­di­tions

CPF pay­outs — how could CPF pay­outs be adjus­ted to address cost of liv­ing increases over time

Altern­at­ive invest­ments and annu­it­ies — how to provide more flex­ib­il­ity for CPF mem­bers who are pre­pared to take on more risks.

You can email to cpf_panel@mom.gov.sg to con­trib­ute your ideas on the above top­ics or to sign up for the FGD. The first 4 FGDs sched­ule to dis­cuss the first 3 top­ics are as fol­lows:-

Singa­por­eans who turn 55 years old between 1 July 2014 and 30 June 2015 will have to set aside $155,000 in their retire­ment accounts, up from the exist­ing $148,000.

Accord­ing to CPF Board, $155,000 is equi­val­ent to $117,500 in 2003 dol­lar terms. There­fore, by next year, the CPF Min­im­um Sum will be able to reach the $120,000 in 2003 dol­lar terms. From 2016 onwards, the CPF Min­im­um Sum will only be adjus­ted upwards based on infla­tion rate.

The Medis­ave Min­im­um Sum will be raised to $43,500 from 1 July 2014. Only amount in excess of the CPF Min­im­um Sum and the Med­siave Min­im­um Sum can be with­drawn from the CPF accounts at age 55.

Cor­res­pond­ingly, the Medis­ave Con­tri­bu­tion ceil­ing will also be increased from $45,500 to $48,500 with effect from 1 July 2014.